Changes in Automobile Sector in Indian Economy

- Rishabh Shah, Student, Faculty of Management, GLS University, Ahmedabad

- Roshni Tijoriwala, Assistant Professor, Faculty of Management, GLS University, Ahmedabad

- Neetu Jain, Assistant Professor, Faculty of Management, GLS University, Ahmedabad

Abstract:

The automobile industry in India is world’s fourth largest, with the country currently being the world's fourth largest manufacturer of cars and seventh largest manufacturer of commercial vehicles in 2018. One of the main purpose of conducting this research is to identify what changes occur in past decade and which all industries are associated with and what will be their input in automobile sector as well as in the economy of India. Moreover, this the study is to know the amount of investment in automobile through FDI and what changes happened in other industries like steel, glass, aluminum, copper, rubber, plastic, leather, and other auto components that are used in manufacturing. Furthermore, to understand the reason behind the slowdown of automobile sector. The research is based upon secondary data collection, which analyses the automobile industries in past 10 years and what changes in production, sales, design, and also try to cover annual report of few companies and study on FDI and government intervention and policy making. Moreover, which sectors got benefited and which sector suffer losses due to changes in market of automobile in Indian in a decade.

The benefits of this study is to know that what the loopholes were made in past and which government policy did not gave result and what modifications are required in upcoming years. Moreover, due to COVID-19 pandemic chances of FDI to invest in Indian economy is more as most of manufacturing plants from china are been shifted to India. Role of government also plays an important role in this sector as most of companies though are private but has to operate on the saying of government like to change engines from BS4 to BS6.

Keywords:

Automobile Sector, India, Covid19, FDI, BS4, BS6

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